The evolution in the iGaming industry has paved the way for subscription-based models, offering game enthusiasts greater value over time and improved user experience. Despite raising certain regulatory concerns, this transformation undeniably encapsulates the changing industry dynamics, user tastes and the financial viability of iGaming operators.
In recent years, the iGaming industry has transformed swiftly, embracing changing market dynamics and adjusting to user preferences. A part of this evolution has notably been observed in the development of a spectrum of bonus structures, specifically focusing on the adaptation of subscription models.
The fast and tech-driven world today has compelled every industry to become user-centric, and iGaming is no exception. Earlier, conventional promotional bonuses, chiefly sign-up bonuses, were a dominant aspect of welcoming players to the gaming platform. However, as user expectations changed, the landscape for rewards has modernized, shedding light on the new era of subscription-based bonuses in the iGaming world.
The concept of the subscription model is commonly prevalent in industries like software applications, news portals, and streaming content services. Nevertheless, their significance in iGaming was relatively less until the last few years. The transformation can be attributed to the demand for prolonged user engagement and the need for consistent revenue for the operators.
Subscription models allow users to pay a monthly or yearly fee for uninterrupted access to a series of games or features. In return, they get recurring benefits that sometimes outmatch the usual bonuses offered. Furthermore, the higher level of gamification can also allow them to unlock specific levels, enhancing their overall gaming experience.
Owing to the changing industry landscape, more operators are transitioning to the subscription-based model. The appeal of these models lies in their convenience, assurance, and the value they offer over time. They not only ensure a constant revenue stream for operators but also enhance long-term user engagement. Moreover, several operators are now integrating these models with conventional promotions to ensure user retention.
To bring a sharper focus to this transformation, an array of iGaming platforms has emerged with the subscription model at their core. HelloFresh of Casinos, known as Casumo, introduced its non-subscription membership that provides an interactive gaming experience with bonuses to earn by progressing through adventure-based levels. Fable Casino has an example of a VIP subscription model, which provides users with various benefits based on the continuity of their subscription.
The evolving bonus structures, specifically the incorporation of subscription models, delineates a fact that iGaming is not just a source of entertainment anymore, but also a service in which the customers wish to invest consistently if they perceive regular value in return.
As Keith O’Loughlin, SVP of sportsbook and platform at SB Tech stated, ‘All operators in the gaming industry should be looking to embrace customization. The players of today demand personalized experiences that reflect their tastes.’ In alignment with his view, the subscription model indeed caters to this demand.
While these shifts provide a positive outlook for the future of iGaming, they also raise certain concerns. Specifically, they pose risks regarding regulation, with authorities wary of the ease with which players can spin into problematic gaming territories. Therefore, it’s essential to ensure these models are responsibly managed.
As we shift deeper into the digital era, the evolution and importance of bonus structures, particularly subscription models in iGaming is undeniably on the rise. It encompasses the changing industry dynamics, the evolving tastes of the audiences, and more importantly, the sustainable financial health of the iGaming operators.
Sources:
1. SBC News: ‘All operators should be embracing personalisation’, interview Keith O’Loughlin, Nov 20, 2019.
2. iGaming Times: Subscription Model Based iGaming Platforms, May 15, 2020.
3. Casumo Blog: Casumo’s Adventure-Based Levels, June 6, 2020.
4. Fable Casino: VIP Subscription Model, Aug 10, 2020.
5. iGaming Business: The Debate: Bonus Models in iGaming, July 19, 2020.
